The smartphone market in China is bigger than the US, but what do they consider a smart phone to be? Mediatek does little IP development. Instead they buy IP once it becomes cheap and integrate it into a chip.

I think with this information more than some chip vendors will begin developing single chip products which include the applications micro and the baseband. But also I think that developing an Android based mobile phone will become cheaper and eventually, everyone will afford an Android. Because once you've tasted the flavor of a smartphone, is hard to settle for a low end product.

Times are changing.More and more qualified engineering professionals are generated in China.They will be able to easily follow the technological developments around the world. There is no wonder that China also will be a smart phone star***

Mediatek was into the integrated handset business well before the acquisition of Analog Devices handset business. The Mediatek integrated baseband business was 3-4x bigger than Analog Devices business at the time of the acqusition. Spreadtrum was also in the integrated handset business well before the purchase of Mobile Peak.

Watching Samsung and Apple fighting over the smart phone crown is like watching two beetles fighting on a motorway.
Neither seem to realise that a juggernaut called Huawei is zooming up fast and going to crush them flat.